Use Solver to determine the alpha that minimizes the MAD for the exponential smoothing forecast for the data that appear in this table.Use the actual demand of period 1 as the forecast for period 2 and then use the forecasts for periods 2 through 9 to calculate MAD. $$\begin{array} { | c | c | }
\hline \text { Period } & \text { Demand } \
\hline 1 & 272 \
\hline 2 & 278 \
\hline 3 & 269 \
\hline 4 & 280 \
\hline 5 & 267 \
\hline 6 & 258 \
\hline 7 & 278 \
\hline 8 & 298 \
\hline 9 & 286 \
\hline 10 & 290 \
\hline
\end{array}$$
A)0.36
B)0.43
C)0.54
D)0.62

Question

Use Solver to determine the alpha that minimizes the MAD for the exponential smoothing forecast for the data that appear in this table.Use the actual demand of period 1 as the forecast for period 2 and then use the forecasts for periods 2 through 9 to calculate MAD. $$\begin{array} { | c | c | } 
\hline \text { Period } & \text { Demand } \
\hline 1 & 272 \
\hline 2 & 278 \
\hline 3 & 269 \
\hline 4 & 280 \
\hline 5 & 267 \
\hline 6 & 258 \
\hline 7 & 278 \
\hline 8 & 298 \
\hline 9 & 286 \
\hline 10 & 290 \
\hline
\end{array}$$
A)0.36
B)0.43
C)0.54
D)0.62

Quizplus · Accepted Answer

The Answer of Use Solver to determine the alpha that minimizes the MAD for the exponential smoothing forecast for the data that appear in this table.Use the actual demand of period 1 as the forecast for period 2 and then use the forecasts for periods 2 through 9 to calculate MAD. $$\begin{array} { | c | c | } 
\hline \text { Period } & \text { Demand } \
\hline 1 & 272 \
\hline 2 & 278 \
\hline 3 & 269 \
\hline 4 & 280 \
\hline 5 & 267 \
\hline 6 & 258 \
\hline 7 & 278 \
\hline 8 & 298 \
\hline 9 & 286 \
\hline 10 & 290 \
\hline
\end{array}$$
A)0.36
B)0.43
C)0.54
D)0.62

Use Solver to Determine the Alpha That Minimizes the MAD